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3 | | | THE DAILY ALASKA EMPIRE VOL. LVIL, NO. 8794. “ALL THE NEWS ALL THE TIME” JUNEAU, ALASKA, TUESDAY, AUG..5, 1941. MEMBER ASSOCIATED PRESS PRICE TEN CENTS FAR EAST WARFARE NOW NEAR PANZER COLUMNS BREAK RUSS DEFENSE NEW SAILENT How a Big Spy Ring Operates; OneinU.S. Is Broken Up by FBI ESTABLISHED | | | BYINVADERS Red Armies Declare that| Counferattacks Are Be- coming Stronger | 43 SOVIET BUNKERS Second of three the spy ring just the FBI. articles on broken by By JACK STINNETT WASHINGTON, Aug. 5. — The four steps of espionage from in- ception of a spy ring to its full | function as a unit, are: (1) the CAPTURED BY NAZIS | meistion” ot e iom: "o e | | dispatch and delivery of that in- 5 . formation and (4) the payment of Russian Tank Offensive ls | aents , B | There are only three other ac- Repulsed n D”ves ON | tivities of a “lifth column” under cen"al Fl'onf, C|aim ;any circumstances—sabotage, pro- | paganda, and the closely related (By Associated Press) | activity of preparation for occupa tion. With these we need not be German panzer forces have driven | concerned here. But let’s take the a new 70-mile deep salient into the | points of espionage and see how heart of the Soviet defense Syswmfthey fit into the picture presented between Moscow and Leningrad, the | by the indictment at New York Russians acknowledged today. Ber-| ,¢ the «greatest spy ring” in U. lin reported the conflict has now|g pigpory. devgloped into two vast battles of As far back as 1936, say Hoover, annihilation. Kennedy and the indictment, the Wh":r;”eg:::::m?:‘rm o | TECIUIting of agents had started i T | for this ring. The methods of “re- reat slaughter of tra) Red ,g—i_.___,_.gge_d — | cruiting” are both subtle and bru- (Continued on Page Eight) | tal."Don’t think for a minute that | spies are just moved in from out- | side. That'would be crude, because B DONT TELL' AUNTY & UNCLE i | would not have access to infor- | mation or the freedom to 'move | about as trusted members or the | industry in which they are em- ployed, or the community in which | they settle. FRIENDSHIP A FACTOR | “Tfle |they could be easily spotted, and| The bases of recruiting agents| | ineffective, because newcomers| are friendship or at least acquain- | G’ ' | WAR DEPARTMENT poster tance with an individual who has! o { warns against spies. onunued on Page Five) 4 | Y N o ! S Fight fo Have Seledees | ed | Robert S.Allee WASHINGTON — Representative Stephen A. Day, Republican Con- gressman-at-large from Illinois, has| just written a book which should be examined by every American | citizen who wants to save the Con- gress of the United States. The book fs called “We Must/ Save' the Republic.” Its cover is red, white and blue, and the book is done up with all sorts of patrio- tic - trimmings. What Congressman Day does not | say, however, is that his book “We Must Save the Republic” was pub- lished by agents with Nazi con- nections. ? The book’s hack cover page con- tains this appeal: “Dear Ameri- can, this book was inspired by the overwhelming response the author received from the American peo- ple for his brilliant, challenging radio address exposing ‘Union Now’ on June 15, 1941—which date is, incidéntally, the day on which European nations are supposed to| pay installments on the war debts| they owe the United States.” But what is omitted from the back cover is the fact that Con-I gressman Day’s speech fituckmg| Britain on June 15 was mimeo-! graphed and sent out to newspap- | ers from the office of the Colum- bia Press Service, which handles publicity for George Sylvester Vier- eck. Viereck, a nephew of the lat2 Kaiser, draws $1,000 monthly as the agent of Nazi Germany. REGISTERED AS AGENTS The company publishing his book is Flanders Hall of Scotch Plains, N. J, and anyone examining the records of the State Department will find that on April 9, 1941 Flanders Hall registered as a for- eign agent, listing as its officeis | Sigfrid Hauck, president; Mary. Hauck, vice-president, and Adolf Hauck, secretary-treasurer. Listed as the parties for whora the “above worked are George Syl- vester Viereck, who in turn ui registered with the State Dep‘n-i Pl AR L o A T R Held Longer Year, Is Baftle for Power TERRIBLE CLIMAX IS ExpE(IED'nm in every emergency. Reason:| Chinese Sources in London Make Prediction Con- cerning Thailand LONDON, Aug. 5. — a Chinese diplomatic source there said everits in Thailand are moving to a “swift and terrible climax.” British officials are silent over the possible naval and military movements in the Far East. SOVIET AIR FORCES ARE CUT DOWN DNB Claims Greafer Part of Russian Fleet Is Eliminated BERLIN, AE—DNB tonight reports that the greater part of the Russian air forces have been elim- inated by Nazi luftwaffes. The news agency declares that Russian planes still have to evade air battles as much as possible. Period than By MORGAN M. BEATTY | AP Feature Service Writer | | WASHINGTON, Aug. 5—In the| | headlines, the issue is whether to | hold the selectees another year.| }‘Acmnlly it simmers down to a | battle over power between the Chief | Executive and the Congress. Thatebattle has piagued the na- the Constitution framers—by de- sign or by accident—failed to state clearly either powers of the Presi- dent or the powers of Congress in an emergency. They made the -President com- mander-in-chief of the armed ‘orces. At the same time they gave Congress the right to pro- vide - the mcney to pay those forces. ; Unfortunately, both the fram- ers of the Constitution and the men who have made laws up to now, have dealt with war as a de- clared and legal state of affairs. They . didn't think of wars that started without declaration. If you want to follow the laby- rinth of debate on Capitol hill over holding the selectees, here are a few fundamental facts to keep in mind. WASHINGTON WAS TROUBLED Early in our history, the vague-| ness of the Constitutien drove both Congress and the President to im- provise means of meeting emergen- cies, George Washington was the, first President to get lost in the constitutional fog. Confronted with a persistent rebellion over grain taxes (the WhisRey rebellion) in Pennsylvania, he finally proclaimed an emergency ‘on his own hook, and quelled the rebellion at the! |head of his own troops. He took! the action as commander-in-chief of the Army. That proclamation of emergency is the daddy of all similar procla- mations in subsequent crises, (Continuea ou Page Six) “Nippons REIHng Troops, RUSSIANS, JAPANESE IN CLASH Engagement Takes Place on Manchoukuo-Siberian Border, Official Report | GARRISONS ARE NOW | BEING STRENGTHENED| - Munitions Through Dairen (By Associated Press) The Japanese Army spokesman asserted today that Japanese and Russian troops have clashed near the Manchoukuo-Siberian border, and at the same time authoritative quarters in London report Japan has “substantially reinforced the Man- choukuo garrisons by at least ong quarter of a million men.” ‘f wAGE Dm‘ms Dispatches from Shanghai -sajd the Yellow Sea port of Dairen, the or R R u"lo“s s Na port of entry to Manchuokuo, is | Representatives of Rail i swarming with Japanese troops, horses, artillery and large quantities | of munitions and other supplies. These forces are constantly moving | through the streets of Dairen. 1t is officially reported in Tokyo | that all Japanese ships have left | the Pacific ports of the United - $900,000,000 Yearly T Ax B I ll | CHICAGO, 1L, Aug. 5—Demands 3 ’ |road unions, have been rejected by Irepresent.atlva of the rail manage- ments. It is asserted the rail represen- | unable to pay the proposed wage in- | creases. was figured that all wage increases, i 3 |if granted, would add $900,000,000 a Measure Hits Persons in il . Medium Income Bracke's NAYY DEPARTMENT WASHINGTON, Aug. 5. — The| House has passed and-sent to the | B‘SES Fon AmKA virtually tripling the taxes of per- sons in the medium income brack-| WASHINGTON, August 5. — The requiring married persons file joint | tion bases for the repair and mmn; income tax ‘returns. | tenance of small naval craft, an 1 ditional section bases in Alaska” turn was by 242 to 160, lopping off | l by the N about $323,000,000 dollars from the | »ore, Snmounced He8Y by’ LieNaYy The statement did not announce The vote on the rejection came (ne sites of the Alaska bases, but of the bill which was by & vote of |ington. The ‘construction will start 369 to 30. - as soon as funds become available. Systems Said Would Add 1Conunuea on Page Ewchw for wage increases, made by rail- | tatives said the railroads would be BY HOUSE The rail spokesman said that it | year to the operation costs. | , Join Returns Rejected | ANNOUNCES MORE | | Senate the $3,206,200,000 tax bill, ets after eliminating the provision establishment of six new naval sec- | “ 3 The rejection on the joint re. | the establishment of “certain ad bills' total estimated yield, | DepRENER:. only a few minutes before passage | others included Neah Bay in Wash- Are You EATING Low Flying RAF Strikes Hard at Roterda TENSTON IN S000 T ORIENTNOW ~ MOUNTS UP 'U. S. Warships Enfer Aus- tralian Waters Following Cruise of South Pacific 'LARGE FORCES ARE | REACHING SINGAPORE With the Nazi air force busy in Russia_the RAF rules the skies over making day and night raids to smash G’g low over the dock area. {Tn Major Nazi Army Shakeup? rman industrial centers and Nazi-held positions in occupied coun- tries. This picture shows the tail of a Blenheim bomber as the plane raked shipping at Rotterdam, flying ‘Japan Brings More Preg- | sure on Thailand-Chin- | eseMasstoAidBritish | | | (By Associated Press) | United States warships have ar- |rived in Australian waters on a 1“tralnlng cruise,” the Navy Depart- | ment announced this morning. This |announcement was mnde even as | the tension in the Orient heigitened | over the reported massing of Japan- i“e troops at Russia’s back door and also continuarce of Japacese pres- sure on Thailand for certain bases and other military objectives. | Without reference to the Far Fast | crisis, the Navy Department said the United States heavy cruisers North- ampton and Salt Lake City have | arrived at Brisbane for “refueling and several days’ recreation” for the | officers and men of the heavy cruis- | ers following a cruise in the South the western part of the continent, German Sub | f General Keitel General Rommel Here are General Wilhelm Keitel, chief of the supreme German command, and General Erwin Rommel, commander of the German forces in Africa, reported by the Moscow radio as having been in- volved in a major army shakeap. General Rommel was put in com- mand of the eastern campaign, according to the report, and General Keitel relieved from his post. U.S. OFFERS USSRAIDTO FIGHTNAZIS Vessel CaMrin,g Nazi'Japan GiEWarning} Undersea Craft is For- | About Shipping Sup- | mer U. S. Desiroyer | pliesfo Vladivostok | | —— LONDON, Aug. 5—The surrender _ WASHINGTON, August 5.— The of a German submarine to the Brit- United States backed Russia against ish destroyer Broadway, formerly Germany today in a formal pledge the United States destroyer Hunt, of “all economic, assistance prac- one of the 50 destroyers transferred | ticable.” The undertaking may bring to the British last September, is dis- | fresh complications in relations with closed this afternoon by the an-4Japan. Surrenders To British Pacific. Coincidentally the British an- nounced officlally that large num- bers of British and Indian troops, including Royal Air Force personnel, have arrived at Singapore. Chinese to Fight Dispatches from Saigon said a large and well-equipped Chinese Army is reported massed on the Burma. border, ready to cross at a moment's notice to join the British forces, presumably against any Jap- anese attacks on British Burma or Malaya. Explosion Draws Near Hourly, it appeared today, a ter- rific “explosion” in the Far East is drawing near. Reports from Bangkok said that officials would not deny that Japan is applying pressure on Thailand for the granting of certain demands and right now, Thalland is facing a mo- mentous decision in relations, on one side with Japan, and on the (Contimued an page Six) GAS BAN IN EFFECT NOW, EAST COAST Night Sales Prohibifed, Maine fo Florida-Three Points Are Developed NEW YORK, Aug. 5—A welter of section reports, in the absence of any official judgment as to the failure or success of the eastern seaboard’s first gasoline curfew on For DEFENSE? It’s a subject for serious thought these days and if you’ll turn to another page in today’s nouncement that decorations have been awarded to the officers and crew of the British vessel. ———— SELECTEE BILL GIVEN SETBACK The assistance will be in military | supplies and implements of defense, | Sunday night, appears to be boiled Even though the Japanese controlled | down to three points, as follows: press in recent weeks has been print-| One—Virtually all service stations ing veiled warnings against routing | from Maine to Florida, except ha!f | 'such shipments across the Pacific of New York City's independents, to Vladivostok, indications were such | complied with Oil Administrator | that the route will be useds | Ickes' request to close from 7 p.m. | The State Department's an- to 7 am, daily as a National De- nouncement said, “favorable con-!fense measure to conserve gas. Empire you'll find just the right answer— the first of a series of 10 graphie food charts telling you just what to eat: to toughen up. Don’t miss it whether you're getting enough to eat or not. BY SE"AIE voIE sideration” is being given Russian | requests for an extension ‘of avail- WASHINGTON, Aug. 5. — The able American shipping facilities to Senate, by a vote of 50 to 27, re- | expedite shipments. The formal jected a proposal by Senator Robert undertaking for the supply of econ- | A. t of Ohio, to limit the period omic aid was set forth in a night of Army selectees to a maximum 'exchange of diplomatic notes con- ! of six months beyond the original nected with the renewal of the Rus~ period set for one yéar. | so-American trade agreement. ! Two—Daytime sale of gas every- where along the eastern seaboard exceeded the tital volume of the average August Sunday's daytime sales. Three—Traffic was just as heavy and in many places heavier than usual during the after dark Hours.